EmailEmail
PrintPrint
Big, small firms still opposing Dominion, Equitable merger
Wednesday, December 20, 2006

Steelmaker Allegheny Ludlum, the University of Pittsburgh Medical Center and PPG Industries Inc. are among companies that continue to oppose the sale of Dominion Peoples to Equitable Gas, according to a new filing with the state's Public Utility Commission.

The brief in opposition to the sale, filed Friday claims that the deal would undermine natural gas competition, resulting in "a loss of customer bargaining power and movement to maximum rates."

 
 
 
Related information

Read the main brief filed by opponents of the merger, as an Adobe Acrobat file.

 
 
 

Smaller businesses represented in a separate brief filed by the state's Office of Small Business Advocate also expressed concern about the possibility that Equitable's acquisition of the local Dominion operations would result in higher gas rates, especially for current Dominion customers.

Other briefs in opposition to the sale were filed by the National Energy Marketers Association and by the Utility Workers Union of America, Local 69.

Briefs in support of the sale were filed by state Rep. Jake Wheatley, D-Hill District, the Mon Valley Unemployed Committee, the state Office of Consumer Advocate and Office of Trial Staff, the Independent Oil and Gas Association of Pennsylvania and two energy marketers, Hess Corp. and Constellation New Energy.

All of the supporters had reached prior settlements with Equitable during a week of hearings last month by Administrative Law Judge John H. Corbett Jr.

Judge Corbett, who is overseeing the $970 million merger proposal, is expected to submit his recommendation to the state PUC by mid-February.

If the commission finds no problems with the transaction, it may grant approval by the end of March but does not have a deadline. If it does not approve the deal, appeals may extend the process.

Besides the PUC, the deal also must pass muster with the Federal Trade Commission, which investigates corporate transactions with an eye to protecting competition. FTC spokesman Mitch Katz has said most transactions submitted to the commission receive approval within 30 days of being filed, but with the remainder the agency requests additional information before making a decision.

First published on December 20, 2006 at 12:00 am
Elwin Green can be reached at egreen@post-gazette.com or 412-263-1969.